Research On Business Model Innovation Of Company D5

With the development of the Internet, the competition of Internet companies isbecoming more and more fierce, not original simple technology and productcompetition, but the business model competition. Especially for the entrepreneurialtype company of the Internet industry, the company’s start-up money comes from theentrepreneurs. If the company wants to obtain long-term development, it must gainexternal financing. Good business model is especially important for the internetcompanies to get the external financing, including creative products, effectivemarketing channels and proactive entrepreneurs. All these have a far-reaching impacton the flow of company’s website. In the recent years, the social networking siteshave experienced explosive flow growth, but the lack of clear business model, theinvestor to the social networking sites gradually lost confidence. The development ofthe social networking sites are suffering from great threat.Vertical Social networkingsites will be the future development direction. Studying the business modelinnovation on the entrepreneurial type companies developing vertical socialnetworking sites has the important practical significance.D5is an entrepreneurial company that runs a vertical website and its users arenetwork game players. It was founded in May2009and the company website hadregistered520000users by December2011. Combined with the network gameplayers and social characteristics fusion, the players can continue the relationstructure, make up the deficiency of the information communication in the game,and achieve virtual social needs in the website. Through the research of D5businessmodel, the author hopes to make a contribution in the survival and developmentstage about the company.This thesis analyzes the company’s existing business model, based on strategicmanagement theory and business model canvas tools. The author puts forward thecompany business model innovation strategy and hope to bring the companymeaningful recommendations for the company to resolve the predicament doingpoor power.